A second offshore wind project planned for the Gippsland coastline has announced it will no longer proceed.
German energy company RWE announced plans to develop the $10 billion Kent Offshore Wind project in July 2024 but has announced it will not proceed following a feasibility study. It follows BlueFloat’s withdrawal from the Gippsland zone three months prior.
The company blamed the decision on “market conditions” and “ongoing uncertainties around the cost of supply chain costs”.
The former 2-gigawatt Kent Offshore Wind project was awarded a feasibility licence in July 2024 to develop an offshore wind energy project in Gippsland.
The Nationals’ Melina Bath said the cancellation of the Kent Offshore Wind project leaves the state’s energy transition in tatters.
“This latest lost investment does nothing to instil consumer confidence in the Allan Government’s ability to guarantee Victoria’s energy security or reign in spiralling energy costs in a cost of living crisis.
“It will undoubtedly heap more pressure on households experiencing bill stress.
“Labor continues to tout offshore wind energy as the answer to Victoria’s mounting energy crisis – but with these projects faltering, the state is at risk of an energy supply shortfall.
“Victoria’s energy transmission is being bungled by the Allan Government’s poor decision making and policy framework which is pushing household bills higher.
“Combined with Labor’s looming gas ban – Victoria is hurtling towards rolling blackouts and even higher energy bills as demand outstrips supply.
“The Allan Government failure to support investment for the state’s energy transition, combined with the lack of confidence from private investors is having a profound impact on Victoria’s energy security.
“In contrast The Nationals and Liberals in government will reverse Labor’s gas ban for new homes and support new gas exploration to strengthen the state’s energy security.”
